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11-23-20 CC WS Agenda Packet CITY OF SHOREWOOD 5755 COUNTRY CLUB ROAD CITY COUNCIL WORK SESSION COUNCIL CHAMBERS MONDAY, NOVEMBER 23, 2020 6:00 P.M. Due to the Centers for Disease Control's recommendation limiting the number of people present at a meeting, and pursuant to MN Statute §13D.02, the Shorewood City Council meetings will be held by electronic means. For those wishing to listen live to the meeting, please go to ci.shorewood.mn.us/current_meeting for the meeting link. Contact the city at 952.960.7900 during regular business hours with questions. For link issues at meeting time, call 952.960.7906. AGENDA 1. CONVENE CITY COUNCIL WORK SESSION A. Roll Call Mayor Zerby _____ Johnson _____ Labadie _____ Siakel _____ Sundberg _____ B. Review and Adopt Agenda 2. Comprehensive Plan Discussion Planning Director Memo 3. ADJOURN #2 MEETING TYPE City of Shorewood Council Meeting Item Worksession Title / Subject: 2040 Comprehensive Plan Discussion Meeting Date: November 23, 2020 Prepared by: Marie Darling, Planning Director Attachments: NAC Response Letter to Metropolitan Council Strikeout/Underscore Version of Land Use Chapter Final Draft Version of Land Use Chapter A copy of the 2040 Comprehensive Plan sent to the Metropolitan Council last summer is available on the City’s website Background: The City’s consultants have finalized the revisions necessary to resubmit the Plan to the Metropolitan Council. For most of the revisions, the changes are minor; and staff did not include a full copy of the plan for your review this evening. The most significant changes to the Comprehensive Plan were made to the land use chapter, with those changes repeated in the housing chapter. Due to the length of the Chapters and the amount of repetition, staff did not include the housing chapter language in your packet this evening. The significant changes to the land use chapter include amending the land use map and the text in the following areas per the previous Council direction:  19905 State Highway 7: A paragraph was added within the text of the land use chapter indicating that this site is a mixed-use site. (P. 115 of the strikeout/underscore version of the land use chapter)  23400, 23425 and 23445 Smithtown Road were changed from Commercial to High Density Residential  Changes to the tables throughout the chapter to be consistent with the land use map. The Metropolitan Council’s direction was to add enough locations to produce 155 dwelling units and 48 units of affordable housing. Both need to be at a density of 5 units per acre or greater. Using the Metropolitan Council’s calculations, these sites, plus other properties classified for a density over five units to the acre would produce 95 of the required dwellings including 30 of the required 48 affordable housing units. In a meeting held between the Mayor, City Staff and the Metropolitan Council staff and appoint representative, the Met Council staff also told the City that the city could be complete but not compliant in this regard. However, staff could also include the Shopping Center at Hwys 41 and 7 as a mixed-use site, which would bring the numbers even closer to meeting the requirements. Mission Statement: The City of Shorewood is committed to providing residents quality public services, a healthy environment, a variety of attractive amenities, a sustainable tax base, and sound financial management through effective, efficient, and visionary leadership. S:\Planning\Comprehensive Plan\Comp Plan 2019\Council Action\20 11 23 Worksession Cover.docx Page 2 Staff would like direction on the following: 1.Are the changes that were directed by Council adequate as shown on the map? Or should staff include the shopping center property at Hwys 41 and 7 as mixed use to approach the original direction of the Metropolitan Council? 2.Level of review with the public: The changes to the land use map are not required to be reviewed again by the public. However, they are substantial changes and staff recommends allowing some public notice and public comment, even if it is a generic notice regarding the review of the final document changes. Notice also could include the City of Excelsior, residents within 500 feet of the affected properties, etc. NORTHWEST ASSOCIATED CONSULTANTS, INC. __________________________________________________________________ 4150 Olson Memorial Highway, Ste. 320, Golden Valley, MN 55422 Telephone: 763.957.1100 Website: www.nacplanning.com MEMORANDUM TO: Shorewood Mayor and City Council FROM: Nate Sparks, Consulting Planner DATE: November 13, 2020 RE: Shorewood - 2040 Comprehensive Plan BACKGROUND Based on Metropolitan Council comments, a revised version of the Land Use Plan chapter of the draft plan was created for review. A few parcels were modified in the land use plan, based on previous discussions. For the most part, the plan is similar but with some technical items included. Specifically, the Metropolitan Council wanted the City to identify parcels that have development potential and provide more detail on the proposed density of development. PLAN CHANGES The Land Use Plan was slightly adjusted to include specific parcels that are identified for potential future development and the minimum number of housing units that can be provided (Page 117). Some of the parcels are commercial in nature being reclassified as residential. Others are residential but have the land area and capacity for new development. These properties provide for new units that can be used to come close to meeting the required forecasts. The Metropolitan Council requested that the City provide 155 units of housing at 5 units per acre. The plan identifies 95 units that meet the required density. The Metropolitan Council also requested that the City provide 48 units at a minimum of 8 units per acre to qualify as meeting the affordable housing requirements. The plan identifies 30 units of affordable housing. The City, led by the Mayor, met with the Metropolitan Council and stated that this will be the approach that the City takes for addressing these issues. RESPONSE TO MET COUNCIL The following is a summary of stated “required information” (necessary in order to deem the Plan complete) as well as a City Staff response which describes the changes which have been made to the updated version of the Comprehensive Plan or provides related comments. WASTEWATER The City must include a copy or copies of intercommunity service agreements entered into with an adjoining community, or language that confirms the Council’s understanding that the communities reimburse each other for the municipal wastewater charges that each will occur by receiving flow from the adjacent community; including a map of areas covered by the agreement. Response. The agreements will be attached as an appendix to the plan. The plan will reference reimbursement policies between the cities. TRANSPORTATION Transit. The Plan must be revised to include a full description of Shorewood’s Transit Market Areas (TMA), which include both TMA 4 and TMA 5, which includes the portion of the City west of Eureka Road. Response. The Transportation Section is updated to include references to all Transit Market Areas in the City. Advisory Comment The Plan should include reference to Metro Mobility or Transit Link in the transit section. Both are available in Shorewood, and the document should directly mention these dial-a-ride services. Response. The two dial-a-ride services mentioned above have been referenced in the Transit section of the Plan. Bicycling and Walking. The Tier 1 and 2 Regional Bicycle and Transportation Network (RBTN) corridors / alignments must be mapped in the Plan. The RBTN could be added to the local park and trail system map or provided in a separate map identifying the. The RBTN GIS file can be located here: https://gisdata.mn.gov/dataset/us-mn-state-metc-trans-regional-bike-trans-netwrk. 2 Response. The proper Regional Bicycle and Transportation Network corridors/alignments are illustrated on the updated Regional Parks and Trails map. PARKS The Plan must describe, map and label the Lake Independence Extension Regional Trail Search Corridor. A description of the Lake Independence Extension Regional Trail Search Corridor is available on page 34 of Shorewood’s 2015 System Statement, and available online at: https://metrocouncil.org/Communities/Planning/Local-Planning-Assistance/System- Statements/System-Statements/02395877_Shorewood_2015SS.aspx. A map of the Regional Parks System in the City, including the regional trail search corridor, appears on page 36 of Shorewood’s System Statement. City Response. The Regional Parks System map (prepared by the Metropolitan Council) which includes the Lake Independence Extension Regional Trail Search Corridor has been added to the Plan as a new map which illustrates regional Parks and trails in both the City of Shorewood and surrounding areas. The Plan must also include a capital improvement program for parks and open space facilities as part of the implementation section. City Response. The City’s capital improvement program, which includes specific programs for parks and open space has been attached to the Plan as Appendix D. FORECASTS The Land Use Chapter must include an analysis specifying what quantities of land will be developed over the next two decades, and at what densities. While the Plan includes a map of vacant and undeveloped land supply, estimated at 202 acres, there is not enough information in the Plan to determine that the land supply accommodates the growth forecast (155 additional households during 2018-2040). A housing capacity and staging table needs to be added to the Plan. City Response. The staging plan is on Page 118 depicting the number of units provided. Page 117 depicts the specific parcels with the future units associated. The Council requires some measure of employment-bearing land use intensity for commercial and industrial land uses to be added to the Plan. Acceptable measurements of intensity include Floor Area Ratio (FAR), or building footprint coverage, or jobs per acre, or setback and height restrictions. Any of these would meet the requirement of measuring of employment-bearing land use intensity. 3 City Response. The City is not increasing the commercial and industrial properties within the plan, as the City is currently meeting the employment forecasts. Advisory Comments Council staff find that recent employment growth and population growth have significantly exceeded what was expected in the current decade. The City can request that the employment numbers be increased with the Plan update. Council staff recommend adding +200, +300, and +400 population respectively to each of the 2020, 2030, and 2040 forecasts. The households number can remain as is. Further, we recommend resetting the employment forecast to 1,600 jobs for each of the future forecast years; Shorewood reached 1,600 jobs in 2018. Shorewood CensusPrevious Council EstimatesCouncil staff Forecastsrecommendation 20102020203020402018202020302040 Population 7307 7400 7500 7600 7693 7600 7800 8000 Households 2658 2800 2910 3000 2845 2800 2910 3000 Employment 1113 1300 1340 1400 1600 1600 1600 1600 Response. The City accepts the revised forecasts and uses these assumptions in the revised version of the Land Use Plan. LAND USE Community Designation. The Plan must include a map acknowledging the City’s regional Community Designation as Suburban. The Plan does acknowledge the overall density expectations for Suburban Communities at five units per acre, but the Community Designation Map is not included. The map is available on the City’s Community Page of the Local Planning Handbook. Response. The Community Designation map has been added to the Plan. Existing Land Use. The Existing Land Use table states 2016 land uses and the Existing Land Use map states 2017 land uses. This information must be consistent. Response. The Existing Land Use table has been modified to be convey 2017 information such that the table and map are consistent. 4 Right-of-way is included on the table and not in the map legend. This information must be represented consistently. Response. Right-of-way has been added to the legends on both the Existing Land Use map and the Land Use Plan. Future Land Use Land use categories must include types of allowed uses and include a description of allowable housing types such as single family, detached, duplexes, townhomes, etc. Response. The land use categories in the previously submitted version of the Plan and the revised Plan both reference types of allowable uses and housing types. Further clarification of this has been added. The Plan must address missing information or resolve inconsistencies within the Plan regarding the density ranges for planned land uses. Response. This has been included in the revised Land Use Plan. There are no longer inconsistencies. The Plan should provide a table of identified redevelopment or new development areas that includes future land uses, acreages, density ranges, and total residential units in 10-year increments. The narrative describes areas that could be developed for residential or a o mix of uses and also need to identify a timeframe. The narrative describes areas for potential high-density residential o development and needs to assign a timeframe and depict these areas on a map. Response. A table with staging has been added to the revised Land Use Plan. For mixed used districts, the Plan must include estimates of the percentage of land that would be used as residential. These percentages should reflect the Plan’s flexibility in defining mixed o use districts as either vertical mixed use (e.g., 100% residential with integrated non-residential uses) or some combination of a horizontal mix of uses (e.g., 50% of parcels developed as residential). 5 For example, the narrative describes two areas that could be developed o with a mix of uses on page 114. The section should include the share and density ranges for those uses. Response. No “mixed-use” districts or land use categories are proposed within the Plan. Mixed Use is only proposed as an ‘alternate’ land use for one parcel. Advisory Comment Staff encourages the City to develop a table that simplifies and clarifies the future land use analysis and policy, and one that would fulfill the Plan requirements. Information could be added to the Existing and Proposed Land Uses table on page 120. These elements include the following: Guiding land use o Acreage anticipated to develop o % of land anticipated to develop as residential o Timeframe (e.g., 2021-2030) o Response. A revised land use table is included with a diagram showing parcels included for meeting the forecasts. Density Calculations More information is needed to determine the average net residential density for the City. The Plan must Identify where forecasted residential growth will happen on the Future Land Use Map or a separate map showing expected new development and re-developed areas and focusing on areas of change. Show which planned land uses have changed from the City’s previously approved plan and where new land uses (change or development intensity) are planned/expected. This information must match the future land use table recommended above. Response. This has been included in the revised Land Use Plan. The City is delivering new development at the required levels (5.5 units per acre) Staged Development and Redevelopment A staging table noting the number of acres potentially available for development within each 10-year planning period must be included in order to clarify the City’s ability to meet the minimum required density for a Suburban Community of five units per acre. Response. A staging plan is included on page 118. Identify potential local infrastructure impacts for each 10-year increment. 6 Response. The plan has been revised to account for this. Demonstrate that the City is capable of providing services and facilities that accommodate its planned growth in the included a capital improvement plan or similar document. Response. The plan accounts for the additional units in the sewer and transportation plans. The staging plan or likely development phasing must be consistent with the volume of anticipated sewer flow identified in the City’s Local Comprehensive Sewer Plan. Response. This is revised in the Sewer Plan. HOUSING Existing Housing Need Plans must provide the number of existing housing units that are affordable within each of the three bands of affordability (less than 30% Area Median Income (AMI), 31-50% AMI, and 51-80% AMI). Response. The number of housing units for the three bands of affordability have been added to the Housing Plan. Plans must state the number of publicly subsidized or income-restricted housing units available within the City, even if that number is zero. Response. The number of publicly subsidized or income-restricted housing units available within the City, has been added to the Housing Plan. Plans must provide the number of existing households that are housing cost burdened within each of the three bands of affordability. Response. The number of existing households that are housing cost burdened within each of the three bands of affordability have been indicated in the Housing Plan. Maintenance and senior housing options have been identified as existing housing needs. Once the missing data is provided, the Plan should consider if they reveal any additional existing housing needs. Once existing housing needs are clearly stated, a description of all widely recognized tools Shorewood would consider using 7 to address those needs, and in what circumstances, is required for the Plan to be complete. Response. Within the Housing Plan, the description of housing tools has expanded in a manner similar to the example provided by the Metropolitan Council. Projected Housing Need Land guided to address Shorewood’s 2021-2030 allocation of affordable housing is not sufficiently described for review. A staging table noting the number of acres available or likely to develop within the Medium Density Residential and the High Density Residential land uses in the 2021 decade is necessary to determine if sufficient land is guided to address Shorewood’s allocation. Response. The Plan acknowledges the affordable housing requirement (48 units) and depicts the number of units being provided (30 units). The plan will be complete but inconsistent as the required number of units is not being provided. Implementation Plan The Plan must describe and provide policy direction on what available housing tools it is likely or unlikely to use with respect to identified housing needs. As a reminder, housing needs include those identified through the existing housing assessment narrative and the affordable units allocated between 2021 and 2030. This includes tools that are not locally controlled but require local support, application or administration to be successfully used. Tools mentioned by the Plan that don’t adequately describe the circumstances of their use include: Tax Increment Financing o Hennepin County’s Affordable Housing Incentive Fund (AHIF) o Hennepin County HOME funds o Referring to the Local Planning Handbook’s list of recognized housing tools does not meet the requirement to describe and consider available housing tools to meet identified housing needs. As a reminder, housing needs include those identified through the existing housing assessment narrative and the affordable units allocated between 2021 and 2030. Tools not mentioned in the Plan include: Tax Abatement o Housing bonds o Fair Housing Policy o Participation in housing-related organizations, partnerships, and initiatives o (basically committing to ongoing education about housing tools available to meet housing needs) 8 City support or direct application to specific resources within the o Consolidated RFP put out by Minnesota Housing Preservation of naturally occurring affordable housing, including o partnership with Homes Within Reach to create land trust homes in Shorewood, local 4d tax incentives, Housing Improvement Areas, and promoting/supporting/applying for resources to preserve naturally occurring affordable housing such as MN Housing, Greater Minnesota Housing Fund’s NOAH Impact Fund, and others. Staff has provided an example of another community’s housing implementation table that meets the requirements of the Metropolitan Land Planning Act and is consistent with Council housing policy, in case it is helpful. Response. As previously indicated, a description of housing tools is provided in the Housing Plan. The description is presented in a manner similar to that provided by the Metropolitan Council. Advisory Comment Both pages 74 and 137 include policy direction to encourage owner-occupied housing. This policy could be considered exclusionary. Council staff encourage the City to consult with their attorney to consider if this statement leaves the City vulnerable to a Fair Housing complaint under the Fair Housing Act. Response. These comments were remaining from a previous version of the plan. The City will remove these references. WATER SUPPLY The City must attach the final local water supply plan template, as submitted to DNR, as an attachment to the Plan so that all components of the Plan are accessible together. Response. The plan has been attached. COMMUNITY WATEWATER AND SUBSURFACE SEWAGE TREATMENT SYSTEMS The Plan indicates that there are four individual SSTS and no public or privately- owned Community Wastewater Treatment Systems in operation in the City. Text on page 52 of the Plan states that SSTS locations “are shown on the map on the following page” of the document, however a map depicting the locations of operating SSTS in the City was not found in the Plan. The Plan needs to be revised to contain the referenced map. 9 Response. It is assumed that the SSTS referenced above is intended to reference the ISTS reference included the City’s Plan. The ISTS map has been inserted into the Plan. The Hennepin County Plan indicates that the City has delegated the responsibility of permitting, inspection, maintenance management, and compliance enforcement of remaining SSTS in the City in accordance with Hennepin County Ordinance 19. The Plan is silent on this issue and needs to have text added to the Plan to either confirm that the County actively oversees the City’s SSTS program, or detail how the City oversees its SSTS maintenance management program. Response. This has been included. AGGREGATE RESOURCES The Plan is silent on the presence of aggregate resources in the City. The Council’s aggregate resources inventory information contained in Minnesota Geological Survey Information Circular 46 indicates there are no known viable aggregate resource deposits available for extraction within the City. The Plan needs to be revised to include this information. Response. Plan has been revised to state that there are no known viable aggregate resource deposits available for extraction within the City. IMPLEMENTATION Define a timeline as to when actions will be taken to implement each required element of the Plan. Response. This has been included. The Plan must include a Capital Improvement Program (CIP) for transportation, sewers, parks, water supply, and open space facilities. Specify the timing and sequence of major local public investments. Response. The City’s capital improvement program, which includes specific programs for parks and open space has been attached to the Plan as Appendix D. The CIP must align with development staging identified in other parts of the Plan and include budgets and expenditure schedules. Response. This has been included. 10 Include your local zoning map and zoning category descriptions. Identify what changes are needed to ensure zoning is not in conflict with the new land use plan and consistent with regional system plans and policies. Response. The City’s zoning map and zoning district descriptions have been inserted into the Plan, followed by the zoning map. Itemized revisions are also included. REQUESTED CITY COUNCIL ACTION The City Council should review the revised Land Use Plan and direct Staff to resubmit the Plan to the Metropolitan Council. 11